Gruber, Joachim Provisions on cross default of loan obligations

Abstract: The so-called «cross default» of debt obligations is a standard provision on the preliminary termination of an obligation, which is used in international loan agreements. Such provisions may be applied when the debtor fails to perform his obligations to pay to the other party to the contract, thus causing doubts in his reputation as a person capable of performing obligations towards other persons. The article includes analysis of various types of provisions on cross default of loan obligations.

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